Question

account | date opened | current status | credit limit | balance | remarks
college now inc
accnt#: 654654654 | aug 2007 | open | $12,000 | $2520 | late payment:
mar 2008
credit inc
accnt#: 654321 | mar 2010 | open | $4000 | $1880 | late payment:
oct 2011
jewelrydotcom
accnt#: 09090909 | apr 2012 | open | $700 | $168 | no late payments.
pays as agreed.

answer the following questions.

(a) which account has the smallest balance?
○ college now inc ○ credit inc ○ jewelrydotcom

(b) which accounts are closed? check all that apply.
□ college now inc □ credit inc □ jewelrydotcom □ none of these

(c) it takes 7 years for negative credit history to be removed from the credit report.
in what year will the late payment at credit inc be removed from the report?

Explanation:

(a)

Step1: Identify balances

College Now Inc balance: $2520; Credit Inc balance: $1880; JewelryDotCom balance: $168.

Step2: Compare balances

$168 < $1880 < $2520. So JewelryDotCom has the smallest balance.

Check "Current status" column. All accounts (College Now Inc, Credit Inc, JewelryDotCom) have "Open" status. So no accounts are closed.

Step1: Find late payment year

Credit Inc late payment: Oct 2011.

Step2: Add 7 years

2011 + 7 = 2018.

Answer:

JewelryDotCom

(b)